It looks like the axle has moved through the bearings a bit, try giving it a tap and see if you can move it back so that the ring is right up agaist the bearings then the tool should go in ok, and don`t forget that the non drive side, or left hand side, is a left hand thread
![daumenhoch :daumenhoch:](http://www.radbmx.co.uk/forum/Smileys/smilies/daumenhoch.gif)